As per the policy of the Govt., Timber extraction works were transferred to the corporation in a phased manner and the Corporation took over the complete working of the Govt. Forests w.e.f. 25.01.1983.

The Corporation has been working only salvage lots comprising of dry, diseased, uprooted and damaged trees, handed over to it by the HP Forest Department for working. On an average, app. 3.00 Lac m3 standing volume is being felled and converted every year by the Corporation, which is sold in auction through at the Sale Depots and also supplied to the Govt. Departments, non-right-holders, small scale industries etc.

Resin extraction work was transferred to the Corporation during the year 1975-76. The Corporation has introduced the system of extraction of resin by "Rill Method" in phased manner by replacing the traditional "Cup and Lip" method, which was damaging to the trees. With the introduction of "Rill Method", the yield per section (1000 blazes) had reached to 41.00 quintals in 2004-05 as compared to 32.12 quintals in 1988-89 by the traditional method (Cup and Lip). In 1974-75, when the work was carried in the Forest Department, the yield per section was 28.27 quintals.

The management of two Rosin and Turpentine Factories at Nahan and Bilaspur was transferred to the Corporation with effect from 01.04.1974. There has been marked increase in resin processing, rosin and turpentine oil production and sale proceeds during the past so many years on account of concerted efforts by the Forest Corporation.